SOUTHFIELD: Starwood fires back at Tri-Town

Wednesday

Feb 19, 2014 at 12:04 PMFeb 19, 2014 at 12:05 PM

Starwood Lane Ventures Inc. vice president Matthew Barry said the development firm is not stalling construction at SouthField to save approximately $600,000 per year in taxes, contrary to claims by South Shore Tri-Town Development Corp. officials Feb. 10. “I’m glad a number of councilors pointed to that absurdity of stopping the project,” Barry said during a special town council meeting Feb. 13.

Ed Baker

Starwood Lane Ventures Inc. vice president Matthew Barry said the development firm is not stalling construction at SouthField to save approximately $600,000 per year in taxes, contrary to claims by South Shore Tri-Town Development Corp. officials Feb. 10.

“I’m glad a number of councilors pointed to that absurdity of stopping the project,” Barry said during a special town council meeting Feb. 13.

Barry also disputed a claim by Tri-Town chief financial officer James Wilson Feb. 10 that Starwood had not submitted a building plan at SouthField since Jan. 28, 2013, and the firm had voluntarily stopped construction when it submitted a proposal to construct 72 apartment units.

“The one development proposal we received from South Shore Tri-Town Development Corp. is a proposal to complete the demolition and abatement of 16 (former Navy) buildings and the abatement of two buildings,” Barry said. “A contractor estimates the value of demolition and abatement to be at $10.8 million.”

Barry said the 16 buildings are located in a prime commercial area at SouthField and one structure would be used as a recreational facility. According to Barry, several firms have expressed interest in having recreational amenities at the location and the tax value of the land would be reduced to $4 million annually if the site were not used for commercial purposes.

Barry stated in a report to the council that Starwood closed land sales in 2013 on Feb. 19, June 27, Aug. 28, Oct. 8 and Nov. 20 for a total of 99 residential units and 6, 649 square feet of commercial development at SouthField.

Councilor-at-large Robert Conlon said he wants assurances from Starwood that won’t sell the redevelopment of SouthField to another developer.

“I’m in this for the long haul,” Conlon said.

Barry said Starwood is committed to investing into SouthField’s redevelopment.

“We are here to sell land for residential building,” he said. “We are here to invest in a water and wastewater plan. We are here to make this project a success. Your security is in the legislation. When the legislation is passed, it passes on all the responsibility to the Town of Weymouth.”

Starwood’s proposed legislation calls for having Weymouth, Rockland and Abington assume control over SouthField land within each of their town’s borders. The three communities would provide municipal services to SouthField and receive property taxes from its property owners at each town’s prevailing tax rate in exchange for providing municipal services like snow removal, police patrols and fire department services, according to Starwood.

District 2 Councilor Thomas J. Lacey said Starwood’s proposal to give the three towns local control over SouthField land within each community’s borders is the most-enticing aspect of the plan.

“We need to understand how it would work,” he said.

Barry said Tri-Town officials made egregious statements about Starwood objectives during the Feb. 10 council meeting. Tri-Town officials present at the Feb. 10 meeting were CEO Kevin Donovan, Wilson, and board of directors members Jeffrey Wall and Joseph Connolly.

“It is troubling that Tri-Town either does not know the facts or chooses not to provide the facts,” he said.

Barry said Tri-Town officials incorrectly stated the East-West Parkway could be completed for approximately $6 million to $8 million.

“They were saying we don’t need a bridge,” Barry said.

Barry said Tri-Town sought $14 million in funding from a MassWorks Grant in September 2013 to complete improved access to the parkway from Weymouth Street to the Route 3 ramps. The requested funding was also sought to extend the partially completed parkway from its connection to Shea Drive to the base of Parkview Street, according to Barry.

Starwood’s proposed legislative changes would have the state assume the financial costs of constructing the parkway, but require Weymouth, Abington and Rockland to provide for the roadway’s upkeep after it is completed.

Barry said Tri-Town incorrectly disputed Starwood’s claim that SouthField’s property tax rate for its commercial properties is the highest in the region by failing to note Randolph has the highest commercial property tax rate during the Feb. 10 meeting.

As part of his argument, Barry displayed what he said was a screen grab from the WETC broadcast of the Feb. 10 meeting that lists no commercial tax rate for Randolph. However, Tri-Town, according to Barry, provided the council with a copy of its Feb. 10 presentation and the summary listed Randolph as having a property tax rate of $32.11 per $1,000 assessed value.

Barry said SouthField’s commercial property tax rate is actually $37:23 for each $1,000 value of a property’s assessed value because it includes a parkway deficiency assessment of $6.50 for each $1,000 of a lot’s value.

“The DDA (Disposition Development Agreement) obligated South Shore Tri-Town Development Corp. to tax at rates that are ‘within commercially acceptable tolerances when measured against other commercial and residential properties in the South Shore area,’” Barry said.

Barry stated in a report to the council that Tri-Town is taxing commercial properties 72 percent higher than Weymouth and if the parkway deficiency assessment were not required, the annual tax rate on commercial properties at SouthField ($30.73) would be 40 percent higher than Weymouth’s commercial property tax rate of $21.70.

Barry also said Tri-Town incorrectly stated during the Feb. 10 meeting that Starwood has not come to the table to meet with them.

“On Dec. 19, myself and Robin Daniels (Starwood director of development) met with the Tri-Town board of directors chairman, the CEO, (Donovan) and the CFO (Wilson),” Barry said. “On Jan. 10, I met with the Tri-Town board chairman. We have not met with Tri-Town since the Feb. 10 (board of directors) meeting. We would be happy to meet with them.”

Conlon said Tri-Town and Starwood must communicate with each other for SouthField to be developed properly.

“If you don’t communicate with each other, nothing will get done,” he said.

Lacey said he is frustrated about Tri-Town’s inability to get a permanent water and waste water service plan since the reuse plan was approved by Weymouth, Abington and Rockland in 2005.

“I’m anxious to get a positive solution,” Lacey said. “This is embarrassing.”

Council President Patrick O’Connor said he is also frustrated there is no permanent water and sewer service plan in place at SouthField, eight years after the reuse plan was approved.

“I was not on the council when this project was approved,” he said. “We have had various Tri-Town executive directors say water and sewer service is on the way.”

Councilor-at-large Brian MacDonald said Starwood’s proposed legislative changes should be moved forward because it would require the firm to pay for delivering water service to SouthField and a wastewater treatment facility.

“The only way to move forward is to move the legislation forward,” he said. “We have been looking for a water and sewer solution.”

District 3 Councilor Ken DiFazio said the water and sewer solution has not been solved.

“They (Starwood) want to pay for it,” he said. “Going forward, I would say we should not do anything until the water and waste water plan is solved.”

DiFazio said the previous legislation that established the 2005 reuse plan for SouthField states there should be no added costs on Weymouth, Abington and Rockland by redevelopment of the site.

Councilor-at-large Jane Hackett said the council needs assurances from Starwood there would be commercial development at SouthField for Weymouth to receive needed property tax revenue.

“We need a minimum of 900,000 square feet of commercial development and up to 2 million square feet of commercial development,” she said.

Barry said Starwood has dedicated 30 acres at SouthField for commercial development.

DiFazio said the current reuse plan requires Weymouth, Rockland and Abington to approve all zoning changes at SouthField, and he is concerned about Starwood’s plan to not construct a golf course at the site.

“If a town wants to change the plan to allow commercial space there, could they do that?” said DiFazio.

Barry said a community could approve a zoning change where the golf course was to be located.

“They can, but a lot of careful thought went into that, and there is a lot of wetlands,” he said.

Barry said the site where the golf course was to be situated could be zoned as open space.

“You would not get any revenue,” he said.

Barry said 90 percent of the developable land at SouthField is located in Weymouth under the current zoning requirements.